Leveraging Political Turmoil to Achieve Economic Prosperity in Canada

This notion may seem contrived at a time when uncertainty is plaguing North American politics and economics, and as Canadians, we should be using the threats of our neighbours to the south as an opportunity to diversify Canada’s economic prosperity. We can’t afford to waste this crisis. 

Canada has traditionally been an exporter of energy, minerals, agriculture and forest products. With an ever-changing international landscape highlighting global insecurities and protectionist policies coming into play, Canada is now in a unique and enviable position to be the preferred trading partner for our friends and allies across the pond. Canada’s rural regions and traditional sectors help set its economy apart globally. It is these regions and these sectors that provide the foundation for Canada’s energy and manufacturing green transition. 

Seizing the Moment: Canada’s Bioeconomy as the Key to Global Economic Leadership

This isn’t some crazy notion; this is an opportunity for Canada’s bioeconomy and arguably one of Canada’s strongest international plays. Today, the bioeconomy is a $4 trillion industry and Canada is well positioned to generate about $200 billion in new economic opportunity if we understand, prepare and take advantage of the opportunity. Given our abundant natural resources, established infrastructure assets such as our ports, industrial and post-industrial opportunities, and a commitment to sustainable innovation, Canada is poised for green industrial growth. Now is the time to step up and stimulate that economic growth through targeted inward investment focused on cleantech and resource-based innovations, strategic investment in Canadian IP, and collaborations with trusted partners who understand the opportunity our country holds and who have a need to support their own sustainability and security. 

Challenging foreign policies and increased international regulations offer opportunities that align well with a robust bioeconomy, ensuring Canada’s economic stability in a tumultuous global climate. The bioeconomy also offers a path to increased productivity through a combination of leveraging the foundation of our domestic resources, adopting innovative technologies and advanced manufacturing capabilities, and building strong, integrated supply and value chains here at home. A focus on technology development, validation and scaling in sectors like energy, sustainable chemistry, and biotechnology will increase the economic output of our exports and ensure Canadian manufacturing remains in step with global trends while ensuring market access for our exports. 

As a maritime nation bordered by water on three sides, leveraging our industrial port assets to support our bioeconomy goals will also allow Canada to benefit immediately from European market diversity and environmental and social impact imperatives. These port assets will allow our nation to move natural resources from one region to the other, destined for transformation and uptake into value chains traditionally supplied by American imports. 

Canada’s Path to Sustainable Growth Amid Global Instability

Canada’s bioeconomy is complex and stretches across many sectors. It represents one of the best opportunities for Canada at this tipping point in our history. A focus on clean and green technology identification, validation, and investment will also allow Canada to take advantage of this unique tailwind created by the tremendous regulatory push by governments around the globe for sustainability. Although a cleantech/green approach may be out of favour with some US investors, it is not the case for Europe and can be the incentive that makes the difference in accessing the required amounts of capital once a technology is validated.

The threats posed by the US’ newly elected party are not trivial. Once made, it cannot be unmade—that genie is not going back in the bottle. Canada can and should take control of its future by quickly confirming alternative trade markets that are better aligned with Canadian values, quality goods and low-carbon technologies. Supporting Canadian companies through innovation and leveraging our resource advantage will result in an enviable competitive edge in a global market which is increasingly driven by carbon and sustainability. A focused bioeconomy strategy will be key and can support many of the key components of a growth economy for Canada. Let’s focus on what sets us apart and leverage it to the benefit of Canada and our place in the larger global economy. 

Now is the time for policymakers and industry leaders to:

• Accelerate economic growth by implementing targeted investment strategies in cleantech and resource-based innovations. This means prioritizing funding for bioeconomy startups and scale-ups that build out integrated supply and value chains, supporting increased resiliency for existing Canadian industries and manufacturing
• Fast-track policy and regulations to support inward investment of de-risked technologies that best align with Canadian assets
• Act now to solidify and further cement existing trade agreements with Europe and other aligned partners to secure long-term economic stability for Canada’s economy
• Leverage Canada’s resource assets, expertise, and global demand for low-carbon goods and technologies by supporting rural economic development in regions focused on traditional sectors.  

Canada Must Pivot to Secure Its Economic Future

Actions of this nature require leadership that understands Canada’s strategic place in the global economy, and now is arguably the best time for that leadership to step into the spotlight. Let’s accelerate investment in sustainable technologies, build resiliency in our industries and cement our trade partnerships to position Canada as a global economic powerhouse and preferred trading partner.